HB 4040
Labor: fair employment practices; certain noncompete agreements; prohibit employers from requiring employees to enter into unless certain conditions are met. Amends sec. 4a of 1984 PA 274 (MCL 445.774a).
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Sign in to take action- Introduced
- Passed House
- Passed Senate
- To Governor
- Became Law
Bill overview
This bill restricts employers in Michigan from requiring employees to sign noncompete agreements unless certain conditions are met. It aims to limit the use of these agreements, which can restrict a worker's ability to find new employment after leaving a job. The bill establishes guidelines for what constitutes a reasonable noncompete and provides legal recourse for workers who believe their agreements are unfair or violated. It also clarifies that agreements prohibiting the disclosure of confidential information or soliciting clients are generally permissible under specific conditions.
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Primary sponsor
Cosponsors
Jasper Martus
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